North Korea is trying to amass a bitcoin war chestUN passes fresh sanctions on North KoreaNorth Korea threatens 'pain and suffering' ahead of UN sanctions voteNorth Korea's Kim Jong Un sets a template for other rogue statesTrump wants to solve North Korea without fightingTrump's plan to starve North Korea of oil is a long shot

September 12, 2017

local10.com

Source: local10.com

Hackers linked to North Korea are ramping up attempts to steal bitcoin in order to bring in money for Kim Jong Un's regime, a top cybersecurity firm says.

Bitcoin and other forms of virtual money -- known as cryptocurrencies -- appeal to North Korea as the U.S. pursues international sanctions aimed at further isolating the country, according to a new report from FireEye.

-quot;Sanctions against North Korea are likely to fuel their cybercrime activity,-quot; said Bryce Boland, Singapore-based chief technology officer with FireEye. -quot;Attacks on cryptocurrency exchanges can be a great vehicle to obtain what is ultimately hard currency.-quot;

It's just the latest example of the illicit ways North Korea allegedly brings in money as it endures wave after wave of increasingly tough international sanctions over its rapidly advancing nuclear weapons program.

FireEye says it has identified three attacks against South Korean cryptocurrency exchanges that took place between May and July, all of them linked to North Korean hackers. The spike in activity began soon after the U.S. said it planned to ratchet up sanctions against North Korea.

A single bitcoin is currently worth more than $4,300, up from less then $1,000 at the start of the year.

FireEye identified the North Korean group behind the bitcoin attacks as TEMP.Hermit. It has been has linked to other high-profile cyberattacks, including the hacking of Sony Pictures in 2014.

Hackers tied to North Korea are also suspected of carrying out a series of attacks on global banks that came to light last year. They included a cyberheist on Bangladesh's central bank in which tens of millions of dollars were stolen.

The North Korean government has repeatedly denied involvement in international cyberattacks.

Intelligence agencies and cybersecurity experts have also linked North Korea to WannaCry, the biggest cyberattack the world has ever seen. The WannaCry virus initially demanded victims pay a ransom in bitcoin, yielding more than $140,000.

Bitcoin and other cryptocurrencies are often held in accounts at online exchanges. But FireEye points out that hackers can swap them into other, more anonymous cryptocurrencies -- or move them elsewhere and eventually withdraw them in traditional currencies like South Korean won or U.S. dollars.

North Korean hackers have previously targeted South Korean cryptocurrency exchanges, stealing bitcoin worth $88,000 (at the time) between 2013 and 2015, according to Yonhap News, which cited South Korean cybersecurity firm Hauri.

The United Nations Security Council unanimously adopted a US-drafted resolution to impose new sanctions on North Korea on Monday --- a move that comes just one week after the rogue nation carried out its sixth and largest nuclear test.

North Korea has warned the United States that it will pay a "due price" if harsh sanctions against the country are agreed at a United Nations Security Council meeting on Monday.

Among the many strides North Korea has made in its development of nuclear weapons it can add another disquieting distinction: the precedent it"s set for other rogue states who covet nuclear weapons.

President Donald Trump stepped back from the possibility of imminent military action against North Korea on Thursday, saying such an event is neither inevitable nor preferable.

President Trump has little chance of persuading China and Russia to cut off North Korea"s oil supply, and even if he succeeds the unprecedented step may still not be enough to get Kim Jong Un to stop building nuclear weapons.